BEFORE THE UTAH STATE TAX COMMISSION
Petitioners, : AMENDED FINDINGS OF FACT
: AND ORDER
AUDITING DIVISION OF THE : Appeal No. 91-1330
UTAH STATE TAX COMMISSION :
: Account No. XXXXX
STATEMENT OF CASE
This matter came before the Utah State Tax Commission upon a Petition for Reconsideration, postmarked XXXXX filed by the Petitioners as a result of the Commission's final decision dated XXXXX.
1. Utah Administrative Rule R861-1A-5(P) provides that a Petition for Reconsideration "will allege as grounds for reconsideration either a mistake in law or fact, or the discovery of new evidence." Under this rule, the Tax Commission may exercise its discretion in granting or denying a Petition for Reconsideration.
2. In response to Petitioners' request for verification of certain findings of fact, the following items are amended to reflect changes:
a. Item 10: To clarify the findings of fact, item 10 is amended to read, "XXXXX further stated that he would give the cash to his superior(s) who often times needed the money just as the superior(s) was/were leaving on a business trip."
b. Item 13: Item 13 is amended to read, "XXXXX stated that he quit his employment at XXXXX because of the "predicament" he was in. That is to say, that because of the way his bosses chose not to comply with accounting procedures, XXXXX left his employer. He explained that he stayed working with XXXXX at the time because he could not afford to be out of work with a family to support. At the same time, he was not in a position to tell his superiors how to carry out proper accounting procedures. Sometimes company officials did not bring him receipts to account for petty cash money XXXXX had given them despite his requests to do so."
c. Item 14: Item 14 is amended to read: "XXXXX, a certified public accountant, warned his superiors that the failure to attach receipts to business expenses may cause the state or the I.R.S. to disallow these deductions should an audit occur."
d. Item 15: Item 15 is not amended.
3. After amending the findings of fact as stated above, the Tax Commission has reviewed this case a second time as requested by Petitioners.
DECISION AND ORDER
Based upon the foregoing, it is the decision and order of the Utah State Tax Commission that XXXXX personal income for the years XXXXX and XXXXX was correctly increased to reflect the check amounts in question as there is no evidence to do otherwise.
The ten percent penalty, however, is waived. The interest is not.
The Tax Commission also notes that although this decision on this Petition for Reconsideration is final; it remains subject to any subsequent determinations by the Internal Revenue Service.
DATED this 10th day of June, 1993.
BY ORDER OF THE UTAH STATE TAX COMMISSION.
R. H. Hansen Roger O. Tew
Joe B. Pacheco S. Blaine Willes